Road diggers' anger at £1.2bn bill

The constant digging up of roads by utility firms has even got the Prime Minister's goat. The Government is to charge utilities a daily rate for digging.

The idea has the personal backing of Tony Blair, but will infuriate telecom, water and electricity firms, which claim they face a bill of £1.2 billion. There are two 'lane rental' pilot schemes operating in Camden and Middlesbrough. Government sources are pleased they have forced utilities to speed up their work. The announcement to broaden it is expected soon.

Utilities currently negotiate with a local authority over how long they can disrupt a street. They are fined if they exceed the agreement. The firms say they will pass extra charges on to consumers, which could see bills rise by an estimated £55 a year.

Utility firms are expected to seek a judicial review. But the plan has supporters among local authorities, which would be exempt from charges. Extra revenue from utilities could be put into local transport improvements.